Chapter 93

Section 1. K.S.A. 1996 Supp. 12-1773 is hereby amended to read
as
follows: 12-1773. (a) Any city which has adopted a redevelopment
plan
in accordance with the provisions of this act may purchase or
otherwise
acquire real property. Upon a 2/3 vote of the members of the
governing
body thereof a city may acquire by condemnation any interest in
real
property, including a fee simple title thereto, which it deems
necessary
for or in connection with any redevelopment plan of an area
located
within the redevelopment district. However no city shall exercise
such
eminent domain power to acquire real property in a conservation
area.
Any such city may exercise the power of eminent domain in the
manner
provided by K.S.A. 26-501 et seq., and amendments thereto. In
addition
to any compensation or damages allowed under the eminent domain
pro-
cedure act, such city shall also provide for the payment of
relocation
assistance as provided in K.S.A. 12-1777, and amendments
thereto.

(b) Any property acquired by a city under the provisions of this
act
may be sold or leased to any person, firm or corporation,
hereinafter
referred to as a developer, in accordance with the redevelopment
plan
and under such other conditions as may be agreed upon. Such city
may
use the proceeds of special obligation bonds issued under K.S.A.
12-1774,
and amendments thereto, or full faith and credit tax increment
bonds
issued under K.S.A. 12-1774, and amendments thereto, or any
uncom-

Ch. 93 1997 Session
Laws of Kansas
323

mitted funds derived from those sources set forth in paragraph
(1) of
subsection (a) of K.S.A. 12-1774, and amendments thereto, to
implement
the redevelopment plan including, without limitation:

(15) all related expenses to redevelop and finance the
redevelopment
project.

None of the proceeds from the sale of such bonds shall be used
for the
construction of buildings or other structures to be owned by or
to be
leased to such developer, except for proceeds of such bonds
as may be
issued under subsection (a)(1)(D) of K.S.A. 12-1774, and
amendments
thereto and except for proceeds of such bonds as may be issued for
a
redevelopment district including some or all of the land and
buildings
comprising a state mental institution closed pursuant to section 2
of chap-
ter 219 of the 1995 Session Laws of Kansas.

Sec. 2. K.S.A. 1996 Supp. 12-1773 is hereby repealed.

Sec. 3. This act shall take effect and be in force from and
after its
publication in the Kansas register.